This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Last year, Alice bought 40 CDs when her income was 20,000 . This year, her income increased to ... (Read 88 times)

cmoore54

  • Hero Member
  • *****
  • Posts: 568
on: Jun 30, 2018
Last year, Alice bought 40 CDs when her income was 20,000 . This year, her income increased to 25,000 . and she purchased 48 CDs. We can conclude that:
 a. Alice's price elasticity of demand for CDs is equal to 1.
  b. Alice's demand for CDs is price-inelastic.
  c. Alice's demand for CDs is price-elastic.
  d. the income elasticity of demand for CDs is negative.
  e. CDs are a normal good.

Question 2

An economic profit of zero indicates a satisfactory situation for the firm.
 a. True
  b. False
  Indicate whether the statement is true or false


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

dreamfighter72

  • Sr. Member
  • ****
  • Posts: 355
Reply #1 on: Jun 30, 2018
Answer to Question 1

e

Answer to Question 2

True


cmoore54

  • Member
  • Posts: 568
Reply 2 on: Jun 30, 2018
Gracias!

mcabuhat

  • Member
  • Posts: 344
Reply 3 on: Yesterday
:D TYSM

« previous next »
 

Did you know?

The average adult has about 21 square feet of skin.

Did you know?

By definition, when a medication is administered intravenously, its bioavailability is 100%.

Did you know?

A serious new warning has been established for pregnant women against taking ACE inhibitors during pregnancy. In the study, the risk of major birth defects in children whose mothers took ACE inhibitors during the first trimester was nearly three times higher than in children whose mothers didn't take ACE inhibitors. Physicians can prescribe alternative medications for pregnant women who have symptoms of high blood pressure.

Did you know?

During pregnancy, a woman is more likely to experience bleeding gums and nosebleeds caused by hormonal changes that increase blood flow to the mouth and nose.

Did you know?

Thyroid conditions may make getting pregnant impossible.

Increased risk of trisomy with maternal age. Increased risk of trisomy with maternal age.
The year 2010 was the hottest since 1880 The year 2010 was the hottest since 1880
Income per Capita versus Inequality Income per Capita versus Inequality
Average Number of Days per Year with Thunderstorms Average Number of Days per Year with Thunderstorms
Construct a Lorenz curve that shows income distribution in this society. Construct a Lorenz curve that shows income distribution in this society.
No payments were made on a $2,598 loan during its three-year term. What was the annually ... No payments were made on a $2,598 loan during its three-year term. What was the annually ...
Video: Bone Growth and Remodeling

For a complete list of videos, visit our video library